Peter Misek | Jefferies & Co
Ok, Mr Misek…what would you rather have, a few clearly differentiated models like what Apple has, namely the 5C to replace the 4S will be less expensive, and the 5S, which will replace the 5, representing the top of the line? Or would you rather have choice, like what Samsung offers, in a confusing tirade of models, nearly 20 in all, from which to choose?
Clearly Apple is winning the simplicity game, with the best profit margin, and net profit. Simplicity is what consumers want, not confusion. Specul;ating that this formula is now all of a sudden a failed strategy, makes you a history revisionist.
“Apple’s new iPhones may not be the panacea some are expecting, in the view of Jefferies’ Peter Misek. He expects disappointing sell-through for iPhone 5S and 5C devices due to lack of differentiation and as a result of secular pressures.
‘While carriers and retailers are optimistic about the possible success of the iPhone 5S and the 5C (for best selling smartphone, Apple saw a big rebound from 33% to 45%; customer satisfaction for Apple rebounded from 35% to 43%), we feel that secular issues (growth is focused in emerging markets, the very low-end and in ~5″ screens) and a lack of differentiation could lead to disappointing sell-through though iPhone 4S upgrades and launches at China Mobile and NTT DoCoMo provide a floor,’ said Misek.”